asked the Minister for Local Government if he is aware that employees of a company in Cobh, County Cork, who have had loans approved by the European Coal and Steel Community will not receive their moneys until September next and that in the meantime they are paying as high as 19 per cent on bridging loans; and if arrangements will be made to recoup them in respect of the excessive interest which they have to pay on these bridging loans.
Ceisteanna—Questions. Oral Answers. - EEC Loans.
36.
I am aware that a number of steel workers in the Cobh, County Cork, area have obtained bridging loans to finance the purchase of their houses in anticipation of loan funds for house purchase being made available to them by the European Coal and Steel Community.
As some further time may elapse before the detailed arrangements for the payment of these loans can be finalised with the Commission of the European Communities, I have asked the National Building Agency to consider urgently the possibility of making house purchase loans available now to the workers concerned at an interest rate of 9½ per cent, adjustable in due course to take account of the interest rate on the EEC funds. I have no funds available for the recoupment of amounts already paid in interest on bridging loans.